1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
boyakko [2]
3 years ago
10

Loni owns a software company and has a great idea for a new app. In order to build the app, she will need to hire a computer exp

ert for one year at a salary of $87,000. (Assume this is the only expense required to create this app.) However, she expects to make $99,000 by selling the app. Since Loni does not have any extra cash on hand, she goes to the bank, where they offer to lend her $87,000 with an annual interest rate of 15%. Should Loni take the loan and build the app?
Business
1 answer:
never [62]3 years ago
6 0

Answer:

No, Loni should not take the loan and build the app.

Explanation:

If she borrows $87,000 to build the app, at the end of the year she will have to pay $87,000 x (1+0.15) = 100,050 in principal and interest to the bank.

After selling the app she will get 99,000 - 100,050 = $1,050.

In other words, she will be making a loss.

You might be interested in
Miriam's employer offers paid vacations, health insurance, and life insurance, as well as a 401(k). Currently, Miriam is partici
Lelechka [254]

Answer: A cafeteria plan

8 0
3 years ago
Who is president <br> Of the United States of America
Hoochie [10]
Barack Obama is the President of the US
4 0
3 years ago
Read 2 more answers
julia suffered a severe stroke and has been admitted to a private hospital where she is expected to remain for the rest of her l
Musya8 [376]

Answer:

0

Explanation:

Because she is a chronically ill individual, Julia may exclude the full amount she receives as it is less than the amount of actual expenses and the daily limitation of $300 established by law.

That's why the taxable amount is 0.

6 0
3 years ago
Cutter Enterprises purchased equipment for $72,000 on January 1, 2018. The equipment is expected to have a five-year life and a
hram777 [196]

Answer:

$28,800

$25920

Explanation:

Depreciation expense using the double declining method = Depreciation factor x cost of the asset

Depreciation factor = 2 x (1/useful life)  

2018 = 2/5 x 72,000 = 28,800

Book value = 72,000 - 28800 = 43,200

2019 = 2/5 x 43200 = 17280

Book value = 43200 - 17280 = 25290

3 0
3 years ago
A lot of points
Pie

Answer:

The answer is C

Explanation:

6 0
2 years ago
Other questions:
  • Adjusting entries are made to ensure that?-expenses are recognized in the period in which they are incurred.-revenues are record
    12·1 answer
  • Is marketing an art form in the digital age? Why or why not?
    13·1 answer
  • Idaho Industries Inc. is considering a project that has an initial aftertax outlay or aftertax cost of​ $450,000. The respective
    14·1 answer
  • When a company uses the allowance method to measure bad? debts, ________?
    10·1 answer
  • Bellue Inc. manufactures a single product. Variable costing net operating income was $115,600 last year and its inventory decrea
    15·1 answer
  • Suppose that the five firms in industry A have annual sales of 30, 30, 20, 10, and 10 percent of total industry sales. For the f
    8·1 answer
  • You have a minor medical policy with a $500 deductible and an 80/20 co-insurance (co-pay) feature with a CAP of $15,000. If you
    13·1 answer
  • Name at least 4 of the sources of ethical issues
    12·2 answers
  • URL in brainly......how its changed
    5·1 answer
  • Write a reflection about your learning in this unit. Your reflection should be at
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!